Roland D v Richard M - Who has injected the most capital?

Imissthepeanutman

Loads of threads on Trust / meaningful dialogue bla bla bla
But on the basis I have absolutely no idea of the numbers but some of you most certainly will.
Who has invested the most personal dosh.
There was talk of a purchase price around £17m.
And the club is losing £7m a year???
So probably by now Roland's net expenditure is probably what £27m?
And of course Roland owns this money spinning venture so we can net off the potential sale price.
But how does this compare to Mr Murray?

No.1 in South London

In percentage terms of their wealth or in total £'s only...............
...........and why should it matter?

Airman Brown

Sums paid to third parties to acquire a business are not investment in the business, in my view. Regardless of the merits and of his motives, RD is loading the club and its parent company with debt - some £28.5m was due to Staprix last June, and it will be a great deal more by this June (a big chunk is the debt incurred under Slater/Jimenez or bank loans being paid down). Unlike the previous ownership he is charging interest on that money, albeit some of it is not on the football club books but only appears in the parent company's (Baton 2010 Ltd) and that it is only at 3 per cent.

Murray and other previous directors wrote off large investments originally made as loans by converting them to equity, which in the end had little value. Perhaps RD will do the same, but he hasn't yet. He also has the assets, which have a value and at least in part offset the purchase price. So I don't think you can just look at how much has been put on the table, you have to look at sums put into the company that can't be recovered if you want to make that comparison.

It's a bit like buying a house and building an extension. You wouldn't necessarily regard all that as sunk cost because you'd hope to be able to sell it on at some point and get your money back. The problem for the previous (Murray etc) board was that they blew their house up . . .

Hartleypete

Im not sure only one way to find out.......fight!

lolwray

Airman Brown said:

Sums paid to third parties to acquire a business are not investment in the business, in my view. Regardless of the merits and of his motives, RD is loading the club and its parent company with debt - some £28.5m was due to Staprix last June, and it will be a great deal more by this June (a big chunk is the debt incurred under Slater/Jimenez or bank loans being paid down). Unlike the previous ownership he is charging interest on that money, albeit some of it is not on the football club books but only appears in the parent company's (Baton 2010 Ltd) and that it is only at 3 per cent.

Murray and other previous directors wrote off large investments originally made as loans by converting them to equity, which in the end had little value. Perhaps RD will do the same, but he hasn't yet. He also has the assets, which have a value and at least in part offset the purchase price. So I don't think you can just look at how much has been put on the table, you have to look at sums put into the company that can't be recovered if you want to make that comparison.

It's a bit like buying a house and building an extension. You wouldn't necessarily regard all that as sunk cost because you'd hope to be able to sell it on at some point and get your money back. The problem for the previous (Murray etc) board was that they blew their house up . . .

indeed i suppose we are skirting round the FFP issue here again ,that looks frightening but where the likes of Notts Forest,Blackburn,Bolton,Bristol City and even Millwall are by comparison